GUERNSEY POST made a profit of £700,000 last year despite battling the loss of VAT-free exports.

Figures in the States-owned utility’s annual report, for the year up to the end of March 2013, showed profit after tax was up by £200,000 on the previous year, even with the withdrawal of low value consignment relief.

However, it is also faced with an immediate funding deficit of £1m. as it looks to curb its out-of-control pension costs.

And the board made clear its displeasure with the States for a lack of progress in pushing through changes to the controversial States final salary public sector pension scheme.

THE most vulnerable in Guernsey society could suffer as a result of changes proposed in the Personal Tax, Pensions and Benefits Review, campaigners have said, as they call on the States to withhold making a firm decision on changes.